Rachel Reeves MP, Labour's Shadow Chief Secretary to the Treasury, responding to the Chancellor's announcement on the accounting of quantitative easing, said:
“George Osborne desperately needs to find a way out from his failing economic plan which has seen no growth and rising borrowing so far this year.
“But instead of changing course and taking action to create the jobs and growth we need to get the deficit down the Chancellor seems to think he can just be bailed out in the short term by money from the Bank of England.
“This smoke and mirrors will fool nobody. We will look very closely at how the OBR and ONS account for this change and whether it ends up costing the taxpayer more in the long-term. People will want to see public sector net borrowing figures without the impact of this change, so they can make proper comparisons and judgements.”